4.5.1.2Deferred tax assets
SBM Offshore N.V. is head of a fiscal unity in which all Dutch entities are included, except for the entities that are held by SBM Holding Inc. S.A. and the joint venture entities. For more details refer to note 4.4.3 General. The movement in deferred tax assets is as follows:
2023 | 2022 | ||
|---|---|---|---|
Deferred tax at 1 January | 3 | 3 | |
Deferred tax effect on unrecognized tax losses for current year | 2 | - | |
Deferred tax effect on unrecognized tax losses in respect of prior year(s) | (5) | - | |
Foreign currency variations | 0 | - | |
Total movements | (3) | - | |
Deferred tax at 31 December | - | 3 |
As of year-end 2023 the Company has re-assessed its recoverability of the deferred tax asset of the fiscal unity and increased the valuation allowance to cover the full deferred tax asset. As a result the net deferred tax asset recognized amounts to nil (2022: US$3 million).